Pinnacle Renewable Energy has received shareholder approval for the planned takeover by Drax Group.
A meeting on 31 March saw an ‘overwhelming majority’ of Pinnacle shareholders vote in favour of the arrangement, through Drax’s wholly-owned subsidiary, Drax Canadian Holdings.
The arrangement will see Drax’s Canadian business acquire all of the issued and outstanding common shares of Pinnacle for $11.30 (€7.65) in cash per share. The arrangement resolution required approval by just over 66% of the votes cast by Pinnacle shareholders present in person or represented by proxy at the meeting. The meeting notes show the percentage of shares that voted for the takeover was 95.97%.
Drax separately announced that its shareholders voted in favour of the takeover at a general meeting of its shareholders, also held on 31 March.
Pinnacle anticipates returning to the Supreme Court of British Columbia on 6 April to seek a final order of the court approving the arrangement. Completion of the takeover remains subject to customary closing conditions, including approval of the court. Completion is expected to occur in April, subject to the satisfaction or waiver of the final outstanding conditions.